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2012 Pennsylvania Consolidated Statutes
Title 13 - COMMERCIAL CODE
Chapter 2A3 - Effect of Lease Contract
Section 2A310 - Lessor's and lessee's rights when goods become accessions

     § 2A310.  Lessor's and lessee's rights when goods become
                accessions.
        (a)  Definition.--Goods are "accessions" when they are
     installed in or affixed to other goods.
        (b)  Priority of interest before accession.--The interest of
     a lessor or a lessee under a lease contract entered into before
     the goods became accessions is superior to all interests in the
     whole except as stated in subsection (d).
        (c)  Priority of interest on or after accession.--The
     interest of a lessor or a lessee under a lease contract entered
     into at the time or after the goods became accessions is
     superior to all subsequently acquired interests in the whole
     except as stated in subsection (d) but is subordinate to
     interests in the whole existing at the time the lease contract
     was made unless the holders of such interests in the whole have
     in writing consented to the lease or disclaimed an interest in
     the goods as part of the whole.
        (d)  Subordination to interest in the whole.--The interest of
     a lessor or a lessee under a lease contract described in
     subsection (b) or (c) is subordinate to the interest of:
            (1)  a buyer in the ordinary course of business or a
        lessee in the ordinary course of business of any interest in
        the whole acquired after the goods became accessions; or
            (2)  a creditor with a security interest in the whole
        perfected before the lease contract was made to the extent
        that the creditor makes subsequent advances without knowledge
        of the lease contract.
        (e)  Removal of goods if interest has priority.--When under
     subsections (b) or (c) and (d) a lessor or a lessee of
     accessions holds an interest that is superior to all interests
     in the whole, the lessor or the lessee may:
            (1)  on default, expiration, termination or cancellation
        of the lease contract by the other party but subject to the
        provisions of the lease contract and this division; or
            (2)  if necessary to enforce his other rights and
        remedies under this division;
     remove the goods from the whole, free and clear of all interests
     in the whole, but he must reimburse any holder of an interest in
     the whole who is not the lessee and who has not otherwise agreed
     for the cost of repair of any physical injury but not for any
     diminution in value of the whole caused by the absence of the
     goods removed or by any necessity for replacing them. A person
     entitled to reimbursement may refuse permission to remove until
     the party seeking removal gives adequate security for the
     performance of this obligation.

        Cross References.  Section 2A310 is referred to in section
     2A103 of this title.

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